Centre plans 3 CPSE ETFs in FY20 to meet Rs 90,000-cr disinvestment target

A PSB ETF, energy PSU ETF, and a metal & commodity PSU ETF being mulled

The Ministry of Finance’s Department of Investment and Public Asset Management (DIPAM) is examining plans to launch three equity exchange-traded funds (ETFs) in the current fiscal year, Business Standard has learnt. 

DIPAM expects that the three ETFs will be attractive to investors who want to invest in specific sectors, and will help the Centre meet an ambitious Rs 90,000 crore disinvestment target for 2019-20 (FY20).

An ETF is a security that tracks an index, a commodity or a basket of assets like an index fund, but trades like a stock on an exchange. It provides diversification to investors and is cheaper than